Financial Summary for the Fiscal Year Ending March 2026 [Japanese GAAP] (Consolidated)

Performance Overview

Consolidated net sales for the fiscal year ending March 2026 were 855.983 billion yen, a 5.1% decrease year-over-year. The decline was mainly due to a decrease in the fuel cost adjustment amount resulting from lower fuel prices. Operating income was 732.3 billion yen, down 3.4%; ordinary income was 613.48 billion yen, down 4.2%. Net income attributable to owners of parent stood at 43.998 billion yen, a 31.5% decrease, influenced by a reduction in gains from nuclear fuel sales recognized as extraordinary income. Net income per share was 207.40 yen.

Segment Performance

Hokkaido Electric Power Company's core business saw net sales of 735.88 billion yen, decreasing year-over-year due to falling fuel prices. However, Hokkaido Electric Power Network's net sales increased to 322.949 billion yen, supported by revised transmission fees and increased area demand. Other business segments also contributed to supporting overall net sales increases.

Financial Position and Cash Flow

Total assets were 2.471051 trillion yen, net assets were 473.636 billion yen, resulting in a shareholders' equity ratio of 18.5%. Cash flow from operating activities was an inflow of 114.545 billion yen, cash flow from investing activities was an outflow of 213.069 billion yen, and cash flow from financing activities was an inflow of 126.807 billion yen. The ending balance of cash and cash equivalents increased by 184.67 billion yen to 184.67 billion yen.

Dividend Status

The annual dividend for the fiscal year ending March 2026 was 32 yen per common share (20 yen in the previous fiscal year), resulting in a payout ratio of 15.4% and a dividend on equity ratio of 1.7%. The forecast for the fiscal year ending March 2027 is an annual dividend of 33 yen.

Earnings Forecast for Fiscal Year Ending March 2027

The consolidated earnings forecast for the fiscal year ending March 2027 anticipates net sales of approximately 970 billion yen (13.3% increase YoY), operating income of approximately 48 billion yen (34.5% decrease YoY), ordinary income of approximately 30 billion yen (51.1% decrease YoY), and net income attributable to owners of parent of approximately 22 billion yen (50.0% decrease YoY). This outlook reflects rising fuel prices and a challenging competitive environment.